As you are probably tired of seeing, I have been posting every single trade in advance for my volatility based trading system this year using RYDHX a DJIA fund. I decided to post them since surely a year ending in "7" after this enormous run would see tremendous volatility making the system shine. I picked the worst possible year in more than 20 for a system dependent on volatility! The system only gained 16% for the year badly trailing buy and hold which gained a stellar 24% for RYDHX.
The risk windows I noted faired a bit better although most of the down turns which began in a risk window tended to be shallow and brief. About 75% of the signals caught turns or acceleration events of some degree and about 25% of the signals were complete duds. The next risk window the system has identified stretches across the whole of next week which is very unusual. It might explain why some folks were trying to get a jump on next week's swings by selling at the close this past Friday.
The astro guru Norm Winski has written that he believes that the historic decennial stock market cycle shifted at the turn of the century such that years ending in "8" have taken the high volatility crown away from the "7" years, so just maybe my system will fare better this coming year.
This is my last regular post regarding this system.
Regards,
Douglas
